Navy Awards $23.1M Engineering Services Contract to VSOLVIT LLC Under Full and Open Competition
Contract Overview
Contract Amount: $23,104,682 ($23.1M)
Contractor: Vsolvit LLC
Awarding Agency: Department of Defense
Start Date: 2024-03-07
End Date: 2026-03-06
Contract Duration: 729 days
Daily Burn Rate: $31.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: AMENDMENT 0001 TO SOLICITATION N6893623R3003 CLARIFIES THE GOVERNMENT'S EVALUATION PROCESS IN SECTION M, PART A, PARAGRAPH 2.0 BY INSERTING THE PROPER TABLE AND DEFINITIONS IN SECTION M, PART C.
Place of Performance
Location: POINT MUGU NAWC, VENTURA County, CALIFORNIA, 93042
Plain-Language Summary
Department of Defense obligated $23.1 million to VSOLVIT LLC for work described as: AMENDMENT 0001 TO SOLICITATION N6893623R3003 CLARIFIES THE GOVERNMENT'S EVALUATION PROCESS IN SECTION M, PART A, PARAGRAPH 2.0 BY INSERTING THE PROPER TABLE AND DEFINITIONS IN SECTION M, PART C. Key points: 1. Contract awarded to VSOLVIT LLC for engineering services. 2. Full and open competition was utilized for this award. 3. The contract has a duration of 729 days. 4. The award type is a delivery order. 5. The contract is Cost Plus Fixed Fee.
Value Assessment
Rating: fair
The contract is a Cost Plus Fixed Fee type, which can lead to cost overruns if not managed carefully. The total award amount is $23.1M.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust price discovery process. However, the Cost Plus Fixed Fee structure requires diligent oversight to ensure cost-effectiveness.
Taxpayer Impact: Taxpayer funds are being utilized for engineering services, with the potential for cost efficiencies through competitive bidding, but risks associated with CPFF contracts remain.
Public Impact
Procurement of essential engineering services for the Department of the Navy. Competition ensures a market-driven price for services rendered. Contract duration of two years allows for sustained support. Potential for cost growth due to CPFF contract type.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type carries inherent cost escalation risk.
- Small business participation is not indicated.
Positive Signals
- Full and open competition utilized.
- Clear award and performance periods defined.
Sector Analysis
This contract falls under Engineering Services (NAICS 541330), a sector critical for defense and infrastructure projects. Spending in this sector is substantial, and competitive procurement is standard practice.
Small Business Impact
The data indicates that small business participation was not a factor in this award (ss: false, sb: false). Further analysis would be needed to determine if opportunities were missed or if the scope was not suitable for small businesses.
Oversight & Accountability
The amendment clarifies the evaluation process, indicating ongoing efforts to ensure transparency. However, the CPFF structure necessitates robust government oversight to manage costs and ensure performance.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Cost Plus Fixed Fee (CPFF) contract type.
- No indication of small business participation.
- Potential for cost overruns if not managed diligently.
- Lack of specific service details in the provided data.
Tags
engineering-services, department-of-defense, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $23.1 million to VSOLVIT LLC. AMENDMENT 0001 TO SOLICITATION N6893623R3003 CLARIFIES THE GOVERNMENT'S EVALUATION PROCESS IN SECTION M, PART A, PARAGRAPH 2.0 BY INSERTING THE PROPER TABLE AND DEFINITIONS IN SECTION M, PART C.
Who is the contractor on this award?
The obligated recipient is VSOLVIT LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $23.1 million.
What is the period of performance?
Start: 2024-03-07. End: 2026-03-06.
What is the estimated profit margin for VSOLVIT LLC under this Cost Plus Fixed Fee contract?
The specific profit margin is not detailed in the provided data. Cost Plus Fixed Fee (CPFF) contracts include a fixed fee, which represents the contractor's profit. This fee is negotiated upfront and remains constant regardless of the final cost of the contract, incentivizing the contractor to control costs to maximize their profit margin.
What are the specific engineering services being procured, and how do they align with the Department of the Navy's strategic objectives?
The provided data identifies the NAICS code as 541330 (Engineering Services) but does not specify the exact nature of these services. To assess strategic alignment, a review of the contract's statement of work (SOW) would be necessary to understand if the services support specific naval modernization, maintenance, or operational requirements.
How will the government ensure cost control and prevent potential overruns given the CPFF contract type?
Effective oversight is crucial for CPFF contracts. The government will likely employ strategies such as detailed cost monitoring, regular audits, performance reviews, and strict adherence to the contract's scope of work. Establishing clear milestones and deliverables, along with robust communication channels with the contractor, are also key to managing costs and ensuring value.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N6893623R3003
Offers Received: 3
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 2831 SAINT ROSE PKWY STE 286, HENDERSON, NV, 89052
Business Categories: Category Business, Limited Liability Corporation, Minority Owned Business, Not Designated a Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Woman Owned Business
Financial Breakdown
Contract Ceiling: $45,084,126
Exercised Options: $29,045,567
Current Obligation: $23,104,682
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0017819D8820
IDV Type: IDC
Timeline
Start Date: 2024-03-07
Current End Date: 2026-03-06
Potential End Date: 2029-03-06 00:00:00
Last Modified: 2026-02-13
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